tv Your World With Neil Cavuto FOX News February 28, 2011 4:00pm-5:00pm EST
what can you do with plain mashed potatoes? when you pour chunky beef with country vegetable soup over it, you can do dinner. 4 minutes, around 4 bucks. campbell's chunky. it's amazing what soup can do.™ >> people misinterpret my passion for anger. i don't know, i am here to collect. you know? and they will lose. charlie sheen on "good morning america" and he seems to be in denial of most everything but i'll be a charlie's uncle, uncle
sam. there is a connection. welcome, everyone, i am neil cavuto, what is the difficult friends between charlie cooped up in a hotel sweet and these guys? one is blow his own money and does not see it, and the others are blowing out our money and won't admit it so the actor justified bad behavior with more bad behavior, and the actors bad spending with still more bad spending. one guy is blowing a sure thing and maybe losing a bundle and the others are blowing out a bundle and leaving us sure of one thing: washington's ways aren't getting better and neither is charlie. both have a problem seeing the mess each is in. and both prefer digging a ditch they simply cannot dig out. charlie wants to get back to work and politicians promising they will get back to business, but, clearly, signaling we are going to pay because charlie ain't changing. live with it. and these guys promising cuts of 4 billion to keep the government
going for a couple of weeks airport changing so deal with it. charlie has not seen the light and the tea party says clearly congress, hasn't, either. jennifer cannot change charlie but she sure as heck will not it is by watching sam. so, jennifer, beside the brilliant charlie sheen analogy, to the government and this in ability to read the message of last fall, what do you think? >>guest: it's fundamental frustrating and i think what we are hearing, here, is, again, we are being sold a bill of goods. the tea party now is more informed than ever. we hear the republican party coming out promising to cut $100 billion in spending this fiscal year and they are talking about $4 billion and although we can't do it and you don't understand, and compromise, and that is not simply something we can do. this country is broke. we cannot fulfill the promises made by politicians that are
long dead and gone. >>neil: the argument for republicans to find the middle ground, they saw the abyss and what we are facing if we don't do something like this and you say the abyss is worse if we do. >>guest: they are tag about cutting discretionary spending getting rid of some earmarks but that is only 16 percent of government spending. and the problem is the big three: social security, medicare and medicaid. that scares people and a lot of people rely on it but that does not mean it cannot be fixed. there has to be leadership. if you are not going to talk about the big three and you stick with discretionary spending you are not leading. >>neil: who do you trust more with the nation's money, thats guys or charlie sheen? >>guest: charlie has more fun. the capitol is a straight-laced crowd. >>neil: i am curious,
washington has not changed its ways and it will continue to tinker at the built because that is all they can do right now where are we going? can the tea parties turn on the party they brought in? >>guest: my goal is to talk about there is a vacuum of leadership, that we have to make >>neil: do you blame boehner? the republic leadership in general? who? >>guest: i try not to play the blame game. in general, politicians wanted to compromise because they want to win their seat. i will get there and do what i can to stay in power. what the tea party has to say, guys, keep moving forward. you are the politician. we are --. >>neil: what if they say they are moving forward and the tea partyers, they are imparent,
rightfully so, maybe, and they will be pleased to see the final results. what do you say? >>guest: i say this: a report came out from the congressional office it would take $740 billion in cuts not to continue to go into dealt in this country in the next six months. do not come back with $4 billion and say you are doing a great job. you are not. and you are not fixing the real problem. you promised these things and they cannot be delivered. we are broke. what part of that do they in the get? face the facts. >>neil: jennifer, thank you very much. on the next program we take a look at charlie sheen and more. tea party folks are not happy with the latest spending cuts and neither is my next guest but he still plans to vote for the very cuts, illinois republican congress joining me. congressman, what did you make of the disappoint on the part of that prominent tea partier that you are not cutting or doing enough? >>guest: in many ways i am with her. there is no more tea party class
than this freshman glass -- class and there is no more tea party freshman than we and part of me is disappointed we will extend this for a couple more weeks, get $4 billion in cuts. >>neil: you are against that? >>guest: i don't know, i want to see what the cuts are. but i will say this, you have to give the speaker and the republican leadership some credit. this freshman class has had influence on them. there are $4 billion worth of cuts in this two week thing which if you extrapolate that offer the course of a year that pans with, on par with what we voted for. >>neil: but the $4 billion were what the president marked anywhere. some tea partyers are getting it, but you guys are losing your nerve. >>guest: i won't let it and too many of us will not let it happen. she alluded to the fact that all
politicians want to do is get re-elected. that is not the mine set in the freshman class. look at the influence we have lad on the conference. we pushed them to their pledge. i supported an amendment that would have actually increased it to $100 billion in real cuts. and most importantly, this is step one. we will lead on entitlement reform because the president punted on that. this is a tough call. and maybe if we extend it for two more weeks but that is it. >>neil: you say that, congressman, and you could be willing to stick to that, but i have seen this play out over these few months and i am wandering, a couple of us, and i wonder if the, you have all become washingtonized and you cannot do anything too dramatic so the $4 billion is the best you can come up with as i heard the $100 billion cut down to $50 billion, the excuse being that
it was a fiscal year and this is how it rolled out. and on and on. i take nothing away from how you changed the equation to looking at not making government bigger but making it smaller but you can understand people's frustration with you, right? >>guest: absolutely. and i am frustrated and i went home and i heard from constituent after constituent, do i vote to extend government spending for two more weeks even at current spending levels or shut down government? and i have to tell you most people in my district say "shut it down." this country very well may need some sort of shock therapy because we have to do something, we are broke, and what i am telling you, this is still how that freshman class feels. beyond the two weeks, we will demand the cr for the rest of the year contains the amendments we voted on and then step two and we look at a budget we are going do go after entitlement reform. we have to. >>neil: thank you, we will
watch closely. a pleasure, congressman. and who says we are look at a melt down? not the "washington examiner," who says a shutdown of the government is not the end of the world. it is not etched in stop we implode? >>guest: sun will still come up and charlie sheen will still have issues whether the government shuts down. it's, president obama actually said the people's social security checks would not go out and veteran benefits will be there and all the manned -- mandatory programs --. >>neil: let's tack about things that are not affected by a government shut down. interest payment on the debt, that would not happen because that is a top priority, pay off bondholders, right? >>guest: absolutely right.
no danger of that happening. in fact, for most americans, all they will notice is it might take longer to get a passport, your tax refund could be delayed for a little while, depending on how long the shutdown lasts and you may not be able to go to the smithsonian if you lap -- happen to be in washington, dc during the shutdown but generally, the essential functions of government will still be there. >>shepard: the ones that are impacted, passport, looking to get a passport renewed or licensed or issued that could be affected and tax refund could be delayed, and parks on a case-by-case basis. but, bottom line, the scare tactics that have been used to say this would be draconian, it is tough for a lot of people but it is not the end of the world. >>guest: it wouldn't. and the congressman said that
people in his district are telling him that it is better to shut it down. not everyone feels that way. but there is a poll out today that says that 58 percent of americans favor a temporary government shut down if that is what it takes for the congress and the president to actually come to an agreement and cut spending. right now the budget seems to be a huge priority. and the same poll found that voters felt that way even though a small group, actually, a generallous group, 48 percent, feel it could sure the economy but we still, you know, they still felt lying 58 percent are saying it is worth shutting down the government for a little while. >>neil: but how long, we have heard the fear of god argument, and this is the third rail, our credit goes out the window, and it would take a lot, and probably an extended shut down, for any of the non-impacted programs to be affected including paying off our debt,
right? >>guest: that is right much the government employees who would not go to work would probably end up getting paid. that hatched the last time the government was shut down and even in the dramatic she down that everyone talks about back twice in the mid-1990's when the government shut down it was different then. the issue of fiscal solvency for government was not at the forefront as it is today. you look at the state capitals and you have a paths against government spending gone wild and the voters actually care about it this time unlike that time. >> very much so? >> thank you very much. i wanted to bring you up to date on this and we get a lot of e-mails on the charlie sheen comparison, and someone writes "it is an insult to make such a comparison, you owe charlie sheen an apology." >> the president makes a pitch for union workers or was that a pitch and mean the union guys
>> i don't think it does anyone good when public polls are denigrated or vilified or their rights are infringe upon. >>neil: they are not all that bad. the president coming to the defense of union workers who have been a target for republican cutting governors in new jersey and wisconsin and ohio and kansas. and taxpayers should be looking at, says former governor, and governor, good to have you. >> good to be back, it has been too long. >> congratulations, by the way.
what do you make of argument that, go slow on the union guys. >> well, no one is doing what the president is saying. people are not denigrating state workers. they are not hurting state works as far as their ability to work. what we have, we have a fiscal crisis. we have a huge budg hole in the state of kansas as many states do so you have to deal with the cost centers and issues and those at the end of the day involve state employees. >>neil: what do you make of the argument that residence are seizing on this, the budgetary problems, as an opportunity to kill public unions. >>guest: i completely disagree with it. what we're doing is dealing with the fiscal problems that we have. i have a $300 million budget hole in the state of kansas and to deal with that we have to go throughout the state government and look at places and ways to cut costs. we what to eliminate 2,000 positions in state government
lash year and these are positions that have been held open for a period of time. but we lad to do that to get our costs and structure down. we have to get that pruned down. >>neil: can you separate the two? that was the wrap against mcdaniels in wisconsin when he said wisconsin has possibly gone too far but he has since modified that. you could separately deal with the union issues. >>guest: i suppose you could. but there is a tie that is there between the two of them and what i think we have to do and what we have to have, a debate about in america the structural cost of government. and what is driving that growth in the structural cost of government and that is what we have to debate at the federal, state, and the local level. >>neil: is the different read i am getting from the republican governors than the newly elected republican congress where the zeal seems to be paramount for
governors like you, with the balanced budgets, to make sure you deliver, most of you do, not so the same zeal in washington. what do you make of that? >>guest: well, in a state you have to hit a budget number, in my state we have to balance the budget, and you have to hit it by a timeframe. the legislature has to pass this. so, you really have things that are front loaded at the state level. my legislature is halfway through the session and another 45 days they are done and you have to hit it early and that is why you see the zeal and early action at the state levels but this is throughout government, we're going to have to have this discussion, this debate, for several years because government structurally spends too much money. >>neil: always a pleasure, congratulations on your victory. not too man go from senator to governor. thank you very much. if the union battle refuses to
>>neil: right now in the midwest the wisconsin 14 are plotting their next move and the awol democrats have 24 hours to show up for work and if they don't the republican governor says painful cuts are coming. scott walker pushing for a tuesday vote on the budget repair bill and we reached out to all 14 democrats and they all declined a chance for an interview. we spoke to a couple in the past, so hope springs eternal.
and my next guest is saying an addiction to public money is doing the unions in. >> true. thank you for having me on to talk about it. the predicament unions are in, they have followed the democrats straight to the edge of the cliff. at a time exactly when the deficit and spending that is out of control and everything the government does is inefficient as we find that coming to the forefront and it is a result of the democratic leadership the unions have been working hand in hand with them for years so now the situation in madison is this: if the unions prevail at the next election cycle, the voters are going to take a terrible toll on those politicians who stuck with the unions. >>neil: you think the way it is presented in the media as even today by the white house this looks like an unfair attack
on unions and bill boomerang, you do not think that will be the case? >>guest: i don't, and i will tell you why, as men in the union, men and women keep losing their jobs, they will start questioning what they are paying union dues for. the trouble is we have destroyed liberal progressive policies have destroyed our private industry so as people lose their jobs they start saying, wait, what did my union do? let me say i am in the against collective bargaining, it is necessary. but in the public sector, it gets tricky balls you have two groups bargaining over taxpayer money. in the private sector, if unions overreach, they perish. in the public sector if unions overreach the taxpayers suffers. so how are governments supposed to get the budget in order with the huge liability, the projectses they have made with someone else's money? there has to be limits. >>neil: i speak to your colleagues who do not agree with
your position saying this is a witch hunt against unions and that governor walker of wisconsin to a degree governor christie if new jersey and some of the others, and john kasich in ohio are after destroying unions, destroying them, what do you say? >>guest: i say that it is politics as usual. of course they are going to portray it as a witch hunt, as the end of collective bargaining. and it may be but it is because the unions have positioned themselves to be public pets -- puppets of the democratic leadership. >>neil: do the members feel this way? tomorrow wisconsin will hold it out on the unions or blame the governor? >>guest: a percentage of blame the governor and a message of blame the unions and we will see how that pans out, but, we saw in the last election, there was a huge swing in how the people voted and that is why we had a
republican landslide. how do you thing it will go with the policies we have, we know the economy is in the going to recover because we cannot tax ourself into prosperity. two years from now there will be a backlash, it will be against the unions and the democrats. what i am saying, the unions need to stand up and police their own. and they need to say, look, we understand that the entire american population is taking a hit, here, and we are in bad times, we are willing to do our share, and, i think, what governor walker has proposed if wisconsin is not totally unreasonable saying negotiate on the saturday, but -- salary but the benefits are out of hand, so you cannot promise someone full medical care when you don't know what the cost is going to be in the future. >>neil: thank you very much don't get that read often. thank you. $4 a gas? what if i told you it won't be the new ceiling. pretty soon it will be the new floor. get ready for the really big get ready for the really big jump at the pump.and i'm going u
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>>neil: hot to trot to begin trading on the egyptian stock exchange when it re-opens tomorrow? cool your jets. it ain't happening. now they are pushing back the re-opening of the stock exchange, it has been closed since january 27, to sunday at the earliest, the same day we got word that hosni mubarak's wife and son were prevented from boarding a plane out of the red sea resort they have been
calling home since this erupted. and they were told "you ain't leaving the country." and now the latest most, libya, freezing $30 billion if libyan assets and moving warships closer to the country in case we need to take action. gas prizes surging again at 20 cents in the past week, and fox is on top of how much you will be forking up. but, first, the latest from libya. >>reporter: this is benghazi, the second largest city in libya that continues to savor the new found freedom but it could be short-lived and the regime could launch a counter offensive. a few hours ago there was a rally held and a celebration in downtown benghazi and we took pictures and you can see
thousands and thousands of people would were in the streets and they listened to a religious leader quoting the koran saying they will win with the help of god. and we also watched as they waved the plague and listened to the national anthem dating back to the time when the country was ruled by a king 42 years ago before the regime currently took power and we observed two of his children played on tanks that troops abandoned when they fled. most residents want muammar qaddafi removed from power and calls he be held accountable for what took place during the four decades of authority and they want him tried in an international court. and, lastly, another city here, rebels are still in power and today they claim they shot down a helicopter sent from tripoli.
so, there is concern that thety is facing a possible counter offensive and lastly, there was a report earlier today that the regime here was going do send some time of an envoy to benghazi to offer food and medical aid but folks say they have no such word of anien provide and i can tell you from my own personnellen counter with the people if it were sent and they brought a dozen red roses and chocolates, he would certainly not be welcome. >>neil: thank you from benghazi, david lee. in the meantime, unrest and get ready for massive sticker shock over here. spill it out. >>reporter: trouble in the mast causes trouble for -- in te middle east causes trouble with oil and gas prices and now a national average jumping by 20 cents last week. and jumping to $3.37 a gallon
and it doesn't stop there. rising oil prices causing a impact from the cost of an airplane ticket to the price of toothpaste. just last week the major airliners kicked in the 4th price hike this year, southwest increased round trip ticket by $10, and united raise the prizes by $20 and delta raised by up to $120. and higher oil prices are pressuring businesses everywhere who are facing increased costs to make and shift new products with fedex with a 10 percent fuel surcharge on express shipments and the competitor is matching that and groceries also are headed higher. kelloggs and smuckers will cause more in commodity costs so you
know we can expect to see higher price tags on the products the companies make. >>neil: thank you, here we go. thank you very much. in the meantime, will the price hikes at the pump hit the president at the polls? my next guest says republicans hope so. >> are you better off than you were four years ago? is it easier for you to go and buy things in the stores than it was four years ago? is there more or less unemployment in the country than there was four years ago? is america as respected throughout the world as it was? do you feel that our security is as safe? that we're as strong as we were four years ago? >>neil: and now from the university of virginia center for politics that comparison right now against when president obama came in. how does it hold up? >>guest: it's going to be a
factor. people are focusing too narrowly on the economy and they are thinking of it in terms of the unemployment rate. that's not how american voters think. when they're asking that great question that reagan crystallized, are you better off than four years ago they are thinking of the overall mood, and whether they can stretch their dollar further or whether it is shrinking and they think about interest rates and inflation and gas prices. you could ask the supporters of the staff of former president ford and former president carter, two presidents would lost re-election in part because of high gas prices and inflation. >>neil: and the misery index combined for this president is better on that count but that is not enough. if prices are moving up at the time he is seeking re-election, and, say, it is a sharp spike,
all bets off, right? >>guest: absolutely. look, there is something especially irritating about high gas prices. we all have to go to the impasse station -- gas station once or twice a week. we know the price the last time we filled up. if it is higher and higher and higher people talk about that at breakfast, lunch, and dinner, the lunch pale issues that determine presidential elections far more than an overall unemployment rate or some vague percentage of growth for domestic product. >>neil: i agree but the unemployment rate is substantial higher than it was when the president came into office and he says the delayed effect of the bush policies but we can quibble over the details. do you think the most harmful thing is what is going on with gas in particular? >>guest: well, at this moment, it may be. certainly if the gas prices go over $a gallon, i don't think there is any question. look, we don't know where unemployment will be.
we don't know where gas prices are going to be. but they are going to be economic pressure points that any opposition party will use against this incumbent. gas prices could be one. unemployment could be one. inflation could be one. that is what the opposition party is there for. >>neil: now this president will have a unique position saying, i inherited this, and it is surely better now than when we were on the brink of rate trends notwithstanding. will that measure up, because we do remember the melt town. we have a good sense of where we were. >>guest: well, it may work with some democrats, frankly, i remember president carter saying the same thing about what he inherited from president ford. it don't matter. people assume after four years you have been running the ship of state and you are responsible and they will vote on that basis. >>neil: interesting stuff.
>>neil: and oil near $100, $4 a gas, and despite all of that, washington, dc cannot afford to grow green, the washington, dc stopping an idea to pay thousands to homeowner whose go green. and residents are told they will not be reimbursed for installing solar panels on property, because of a budget shortfall. and now, the government should take a lesson here. is that true, chris? they have gone to the trouble of doing this under the notion they will get a credit or check from their government and it is in the happening.
explain. >>guest: well, not really sympathetic party where people are rushing to have neighbors and children pay for what amounts to not much more than an upper middle-class street-side gesture. they will infer pay for themselves and the idea the state should pick up half of the costs is, of course, not just . >>neil: required by would? >>guest: i'm sorry? >>neil: required by who? >>guest: the localities who will rob peter to pay paul. the politics aside, what sort of energy should we use? take a lesson, remember, the most instructive thing is that the president said eight times look at spain, that is what we are trying to do. he for long are says that because we supposed what happened in spain. ponzi had nothing on these guys and mr. ponzi does not make it to the second round of financing which we saw in washington, dc, default is the we fault position of any program citizenned to underwrite the spectacular
economics and those stuck holding the bag after the music stopped, i feel for them, by you messed up and you trusted me. >>neil: i wonder, when people were told they would get cash back forgetting certain things the understanding is uncle sam would fork over the money and a lot of districts the authorities were kicking up to half in and they are opting their half out, right? >>guest: washington, dc went through a grant park and there is one, you can pay, you can subsidize the installation, have a feed in tariff, or mandate which is what they are considering, mandate, making businesses as if it were not bad enough to be a business there but washington, dc went for a grant program because you can pull the plug when you want. a tax credit is an obligation. a grant is if they pull the plug, they pull the plug. default is the default position.
this is not an unexpected consequence but unpleasant for some who found themselves standing when the music stopped. >>neil: they get the grant from uncle sam and then theynd up using that money for any other purpose but the one for which it was intended, right? >>guest: this is washington, dc where they say they need an enormous injection of federal taxpayer cash for the "cost" of being the biggest tourist attraction in the country. they are a we case, and this is how we days behave. >>neil: but if this is happening in washington, dc where the draw just on the basis of where it is and what it is. >>guest: it is happening in europe, holland, france, germany. >>neil: say you live in colorado and you expect get reimbursed for doing the same sort of thing, this could be a preview of coming attractions, right? >>guest: what happened in european will happen in the united states. what happened in washington, dc will happen in other locations.
democrats pause. americans are not willing to cut democrats much slack on the issue. or maybe this potential shut down issue. something with which the democrat congressman takes issue. you are not buying the whole shut down thing hurting your party. >>guest: it hurts everyone. i don't think it sures us more than the republicans but it hurts the taxpayers who still pay their taxes every week but do not get services for it. so, i don't think there will be a shutdown and i don't think there should be a shutdown. >>neil: on the middle ground to extend the government for a couple of weeks are you for that measure, the $4 billion in cuts that republicans like, the democrats feel are not too onerous, to keep us going for a couple of weeks? >> it is headed in the right direction. it sounds like a reasonable compromise that gives us two weeks to have a sensible negotiation about a budget that
would cut reckless spending and help us move forward. a step in the right direction. >>neil: when you read the different polls the talk of the spending and they echo what has been happening in the states, where you have the very public image of a lot of upset public workers for whom americans if the aggregate don't have the sympathy as you would think so i wonder whether this does indeed boomerang on democrats? >>guest: when a long-term shut down hits the realities, people will not like it because it would mean you could not get your passport processed and you could not get into a national park for a family vacation, and you could find out that money that hires a teacher for special education at your schools is not there anymore. >>neil: but, congressman, it does not mean the onerous things like the military stopping, interest payment on the debt stopping. the reality is, social security
checks going out, et cetera, the fear that is being placed and on both sides in the past when the issue came up, is not justified, the idea we go into sudden default is wrong. >>guest: we don't go into default. that only happens if we tonight extend the debt ceiling. >>neil: often if we don't we don't go into default. >>guest: i am in the sure i agree with that. it is not just public sector but private sector jobs, for example, and the secretary of the navy said last week if the defense department is constrained in making payment 10,000 private sector works at shipbuilding companies and shipyards around the country could lose their jobs. i talked to a guy on the train who does business with the gsa and he has a private sector company and if the cash flow is impaired he has to lay people off the last government shut down and he could have to do it
again. it goes beyond public workers for those would do business with the government. >>neil: we will see. >>guest: i hope we don't see. because it is in the good for the country. >>neil: thank you for stopping by. and we got this into the newsroom concerning b.p., the obama administration has granted the first permanent allowing of deep water drilling in the government and this is coming from the new orleans newspaper. that is something, b.p. and indeed others have been waiting to see as a way to open up oil exploration in the area. but you cannot sell them, scare them. but it is for longer working for but it is for longer working for the unions. you've never held it in your hand, then unleashed it with a fingertip. never watched pixels whip by at 1 ghz and had your neurons struggle to keep up. you've never seen fast
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take the budget cutting measures in many states. they are about destroying unions and not saving money and forcing teachers out and not bringing accountability back in . now trying to take the pensions away from them and not the assets they pay for them. not remotely close to what we pay for example but closer to what we pay. we are decimating the schools and not helping our kids. we are not providing a break for the cash-trapped taxpayer. we are going after benefits at this day and age seem clueless. that is unfair, my friend. cutting benefits for public workers. no one is dying or remotely that many let go. but just modest adjustment that private worker doing and it is about getting real and it is real unfair saying it is
about anything else. teachers use kids as pawns to protect their benefits. game over and our country is over. you want to know the real truth here? it is about covering their costs. it is not about covering their assets. there is a difference. by the way, i am hearing in blitz-like fashion from a lot of you who resented the comments of charlie sheen's comments of what is going on in washington. a guy who frequented prostitutes and humiliated his wife with congress? cavuto apology now to mr. sheen? cavuto, you say that charlie is bad and congress is worse. you are right on that one. how could you compare charlie's reckless spending spree with congress. cavuto charlie spent far, far less.